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Found 22 results

  1. Yesterday we reported that Nissan may be cutting up to 10,000 jobs.... we were short by about 2,500. Nissan Motor Company's CEO Hiroto Saikawa said "The results were really more negative than we expected" in a financial briefing at Nissan Headquarters. Operating profit was nearly wiped out, falling to just $14.8 million in the first fiscal quarter ending June 30th. Operating margin shrank from 4.0 percent last year to barely 0.1 percent this year. Global retail volume fell 6.0% to 1.23 million vehicles. On the back of these poor results. Nissan has annouced job cuts of up to 12,500 worldwide as part of a plan to revive the company. Of that, 6,400 job cuts are already underway with 1,420 jobs lost in the U.S. An additional 6,100 job cuts are planned over the next 4 years. Most of the job cuts will be at plants that are working below capacity. In the U.S., Nissan is trying to move away from fleet sales and focus on increasing retail sales, with the goal of boosting retail sales by 100,000 units. View full article
  2. Rumor has it that that Nissan is about to report that its first-quarter profit fell by nearly 90%. Nissan has yet to recover from the financial scandal caused by Carlos Ghosn. Additionally, years of chasing volume over profits in the U.S. has damaged the brand, requiring heavy discount and cheap financing to move metal. Investors are also worried that the alliance with Renault is breaking down. Friction with France's Renault over the failed merger with Fiat-Chrysler Automobiles has brought tensions between the two companies to an all-time high. Reports are that due to the falling profits, Nissan will be cutting up to 10,000 jobs, primarily in Asia and South America. In doing so, Nissan would join the ranks of Mercedes-Benz, Ford, Honda, and others with global layoffs in the five digit range. Nissan/Infiniti sales in the US are down 8.9 percent year to date as of June. View full article
  3. Yesterday we reported that Nissan may be cutting up to 10,000 jobs.... we were short by about 2,500. Nissan Motor Company's CEO Hiroto Saikawa said "The results were really more negative than we expected" in a financial briefing at Nissan Headquarters. Operating profit was nearly wiped out, falling to just $14.8 million in the first fiscal quarter ending June 30th. Operating margin shrank from 4.0 percent last year to barely 0.1 percent this year. Global retail volume fell 6.0% to 1.23 million vehicles. On the back of these poor results. Nissan has annouced job cuts of up to 12,500 worldwide as part of a plan to revive the company. Of that, 6,400 job cuts are already underway with 1,420 jobs lost in the U.S. An additional 6,100 job cuts are planned over the next 4 years. Most of the job cuts will be at plants that are working below capacity. In the U.S., Nissan is trying to move away from fleet sales and focus on increasing retail sales, with the goal of boosting retail sales by 100,000 units.
  4. Ford's second quarter 2019 income fell 86 percent to just $148 million. The result is largely due to one-time charges related to its restructuring of operations globally. Excluding the one-time items, Ford's income before interest and taxes fell just 2% to $1.65 billion. Global revenue was flat year over year at $38.9 billion. The charges are primary caused by plant closures in Europe and South America. Ford has said it would cut 12,000 jobs in Europe by the end of 2020. Ford's sales in the US have fallen 7 percent, including a large decline in Ford Explorer sales as the company moves the nameplate to a new rear wheel drive platform. Ford CEO Jim Hackett said that the changover was a "bigger endeavor" than overhauling the F-150 to an aluminum body. View full article
  5. Ford's second quarter 2019 income fell 86 percent to just $148 million. The result is largely due to one-time charges related to its restructuring of operations globally. Excluding the one-time items, Ford's income before interest and taxes fell just 2% to $1.65 billion. Global revenue was flat year over year at $38.9 billion. The charges are primary caused by plant closures in Europe and South America. Ford has said it would cut 12,000 jobs in Europe by the end of 2020. Ford's sales in the US have fallen 7 percent, including a large decline in Ford Explorer sales as the company moves the nameplate to a new rear wheel drive platform. Ford CEO Jim Hackett said that the changover was a "bigger endeavor" than overhauling the F-150 to an aluminum body.
  6. Rumor has it that that Nissan is about to report that its first-quarter profit fell by nearly 90%. Nissan has yet to recover from the financial scandal caused by Carlos Ghosn. Additionally, years of chasing volume over profits in the U.S. has damaged the brand, requiring heavy discount and cheap financing to move metal. Investors are also worried that the alliance with Renault is breaking down. Friction with France's Renault over the failed merger with Fiat-Chrysler Automobiles has brought tensions between the two companies to an all-time high. Reports are that due to the falling profits, Nissan will be cutting up to 10,000 jobs, primarily in Asia and South America. In doing so, Nissan would join the ranks of Mercedes-Benz, Ford, Honda, and others with global layoffs in the five digit range. Nissan/Infiniti sales in the US are down 8.9 percent year to date as of June.
  7. BMW has issued a profit warning for 2019, saying that profits will be well below last year's 7.2€ billion. The company stated that higher raw material costs, unfavorable currency exchange, and compliance with stricter emissions standards are the main causes for the profit erosion. BMW is not planning for layoffs at this time, but those could come in the future as the company moves to simplify and consolidate its product portfolio. One area that will see cuts is in powertrains. BMW plans to cut the number of engine/transmission options in half and simplify platforms in a move to streamline operations. BMW plans to reduce the development time of new vehicles by one third through its PERFORMANCE > NEXT program. Part of the expected expense will be from the move to electrification. More from BMW's financial release on the next page. BMW Group sets strategic course for future Krüger: "Systematically working to ensure operationalexcellence" Operating efficiency: Performance > NEXT offers potentialefficiencies in excess of € 12 billion by 2022 Upfront expenditure expected to remain high New structure for sales divisions EBIT margin of 8 to 10 per cent remains ambition Challenges influence 2019 outlook Munich, Germany- March 20, 2019...On its way towards the mobility of the future, the BMW Group is taking strategic steps to enhance its operating performance on a sustainable basis. As well as systematically implementing its strategy NUMBER ONE > NEXT, the company is also focusing on faster processes, leaner structures and therefore greater efficiency. In view of the many challenges currently facing the automotive sector, the BMW Group is ensuring it maintains its financial strength to influence and decisively shape individual premium mobility moving into the next decade, just as it has over the past ten years. "After three years of Strategy NUMBER ONE > NEXT, we remain firmly on course, having established a strong position as one of the world's top providers of e-mobility. We lead the European market and will soon go into series production of our fifth generation of electric drivetrain systems. We’re significantly expanding our presence in the upper luxury class. Our first highly automated vehicle will become available in 2021 and we are already now paving the way for the development of the next generation of groundbreaking technology. In the field of mobility services, we are joining forces with Daimler AG to create even greater momentum," said Harald Krüger, Chairman of the Board of Management of BMW AG, in Munich on Wednesday. "We need to work systematically on our operational excellence in order to leverage these strategic advances and ensure our ability to use our own underlying strength to help shape the sector’s transformation going forward," he added. To compensate for the increasing volume of upfront expenditure needed to drive the mobility of the future, the BMW Group is enhancing its business performance by comprehensively rolling out an array of new models. In the upper luxury class, for instance, the new BMW 8 Series (both the Coupé and the Convertible) and the new BMW X7 have already made their debut. The fully revamped BMW 7 Series is on its way to dealerships and will be flanked by the launch of the BMW 8 Series Gran Coupé in the further course of this year. The Group's next step will be to significantly rejuvenate and expand its range in the compact class. With this aim in mind, the next generation BMW 1 Series will be launched in autumn 2019 and the BMW 2 Series Gran Coupé, a new and highly emotive model, will be added to the compact segment in spring 2020 with a view to attracting new customers. High potential for boosting efficiency with Performance > NEXT Since 2017, the BMW Group has also worked systematically with Performance > NEXT to improve structural efficiency along the entire value chain. In this respect, numerous decisions have either been taken or are already being implemented. In view of the growing challenges and demands on resources, the Group intends to expand and intensify these efforts. By the end of 2022, it expects to leverage potential efficiencies totalling more than 12 billion euros. Many of the measures aimed at reducing product complexity will then come to full fruition in the following years. "Our industry is witnessing rapid transformation. In this environment, a sustained high level of profitability is crucial if we are to continue driving change," said Nicolas Peter, Member of the Board of Management of BMW AG, Finance. "In view of the numerous additional factors negatively impacting earnings, we began to introduce countermeasures at an early stage and have taken a number of far-reaching decisions. Discipline and a clear focus on rigorous implementation are essential as we aim to emerge from these challenging times stronger than ever." Performance > NEXT will also benefit from the fact that processes can be significantly accelerated by the new opportunities digitalisation offers. For instance, development times for new vehicle models will be reduced by as much as one third. Among other savings, digital simulations and virtual validation could eliminate the need for some 2,500 expensive prototype vehicles by the year 2024. The BMW Group continues to recruit skilled workers and IT specialists on a selective basis to engage in forward-looking projects such as digitalisation, autonomous driving and electric mobility. Nevertheless, the target for 2019 is to keep the workforce at the previous year's level. Compared to earlier years, the scale of natural attrition in the workforce has been exacerbated by demographic factors (including the baby boomer phenomenon), a situation which means the BMW Group can focus even more intensively on issues that will shape the future and increase efficiency. In addition, with effect from 1 April 2019 the BMW, MINI and Rolls-Royce automotive brands will be combined within a single sales division, clearly signalling a move towards even leaner processes and more efficient structures throughout the company. On the product side, from 2021 onwards, up to 50 per cent of today's drivetrain variants will be eliminated in the transition to more sophisticated and flexible vehicle architectures. This approach will also enable the BMW Group to focus on the products most in demand. At model level, no successor will be developed for the current generation of the BMW 3 Series Gran Turismo. Moreover, the model portfolio is regularly assessed with a view to identifying additional potential to reduce complexity. Synergy and efficiency opportunities in indirect purchasing as well as in materials and production costs are also being leveraged. Upfront expenditure set to remain high The BMW Group intends to implement the measures outlined above to offset the ongoing high level of upfront expenditure required to embrace the mobility of the future. Substantial volumes of future-oriented expenditure are again planned for 2019. At € 5,029 million, capital expenditure in 2018 was 7.3% above the previous year’s high level (€ 4,688 million). The Capex ratio rose to 5.2% (2017: 4.8%). Investments included work connected with the introduction of new models in the Spartanburg, Dingolfing and Munich plants and the building of the Group’s plant in Mexico. As planned, research and development expenses in 2018 were significantly higher than in the previous year and totalled € 6,890 million (2017: € 6,108 million; +12.8%). R&D expenditure for the year was therefore equivalent to 7.1% of Group revenues (2017: 6.2%). In addition to ramping up the roll-out of new models, the focus is also on future-oriented topics such as autonomous driving and the systematic expansion of electric mobility. Pioneer systematically expands e-mobility product range With more than 350,000 units (over 130,000 fully electric vehicles and more than 220,000 plug-in hybrids) delivered to customers up to the end of 2018, the BMW Group is already a leading supplier of electrified vehicles and expects to have more than half a million units on the roads by the end of the year. At the beginning of March, the new plug-in hybrid versions of the BMW 3 Series, BMW 7 Series, BMW X5 and BMW X3, which now come with extended electric range, were showcased at the Geneva Motor Show. By the end of next year, the BMW Group will have more than ten new or revised models equipped with fourth-generation electric drivetrain technology ("Gen 4") on the roads. By the end of 2019, these will include the all-electric MINI Electric manufactured at the Oxford plant and, from 2020, the BMW iX3, which will be produced for the world market in Shenyang, China. Together with the pioneering BMW i3, the BMW i4 and the BMW iNEXT, the Group will have five all-electric models on the market by 2021 and the number is scheduled to rise to at least twelve models by 2025. Including the rapidly growing range of plug-in hybrids, the BMW Group’s product portfolio will then comprise at least 25 electrified models. This wide range of electrified models on offer will be made possible by highly flexible vehicle architectures and an equally agile global production system. Going forward, the BMW Group will be capable of manufacturing models with all-electric (BEV), hybrid-electric (PHEV) and conventional (ICE) drivetrains on one production line. The ability to integrate e-mobility in its production network will enable the BMW Group to respond even more flexibly as demand grows. The BMW Group is currently developing the fifth generation of its electric drivetrain, in which the interplay of electric motor, transmission, power electronics and battery will be further optimised. Integrating the electric motor, the transmission and power electronics also plays a role in cutting costs. Furthermore, the electric motor does not require rare earths, enabling the BMW Group to reduce its dependence on their availability. The fifth generation of the Group's electric drivetrain technology will be installed for the first time in the BMW iX3 from 2020. Cooperation for next generation of autonomous driving The BMW Group believes long-term partnerships within a flexible, scalable, non-exclusive platform are key to advancing the industrialisation of autonomous driving. As early as 2016, the BMW Group established a non-exclusive platform with technology specialists, suppliers and OEMs to take the technology to series maturity and has now successfully consolidated work in this area at the Autonomous Driving Campus in Unterschleißheim, near Munich. The generation of technologies currently under development will go into series production as Level 3 automation in the BMW iNEXT in 2021, this vehicle will also be Level 4-enabled for pilot projects. The BMW Group has joined forces with Daimler AG to advance the development of the next generation of technologies needed for autonomous driving. At the end of February, the two companies signed a Memorandum of Understanding (MoU) to jointly develop the technologies that are vital for future mobility. Initially, the focus will be on advancing the development of next-generation technologies for driver assistance systems, automated driving on highways and parking features (in each case up to SAE Level 4). The BMW Group and Daimler AG view their partnership as a long-term, strategic cooperation and aim to make next-level technologies widely available by the middle of the coming decade. Combining the outstanding expertise of the two companies will boost their joint innovative strength. Moreover, it will both accelerate and streamline the development of future technology generations. The development of current-generation technologies and the ongoing collaborations both companies have in this field will remain unaffected and continue as planned. Both parties will also explore additional partnerships with other technology companies and automotive manufacturers that could contribute to the success of the platform. Major investments in joint venture for mobility services The BMW Group and Daimler AG are also working together in the field of mobility services, creating a new global player that provides sustainable urban mobility for its customers. The two companies are investing more than one billion euros to develop and more closely intermesh their offerings for car-sharing, ride-hailing, parking, charging and multimodal transport. The cooperation comprises five joint ventures: REACH NOW (multimodal), CHARGE NOW (charging), FREE NOW (ride-hailing), PARK NOW (parking) and SHARE NOW (car-sharing). The common vision is clear: the five services will increasingly merge to form a single mobility service portfolio with an all-electric, self-driving fleet of vehicles that charge and park autonomously and also interconnect with other modes of transport. This service portfolio will be a key cornerstone in the BMW Group’s strategy as a mobility provider going forward. The cooperation represents the ideal approach for maximising opportunities in a growing market, while jointly shouldering the unavoidable cost of investment. Challenging conditions in the financial year 2018 In terms of its core business, the BMW Group had always expected 2018 to be a challenging year. Compared with 2017, alongside additional upfront expenditure for the mobility of the future, a high three-digit million euro negative impact from exchange-rate and raw materials price developments had been factored into expected earnings for the year. As announced on 25 September 2018, several additional factors dampened business performance in the third quarter. Unlike many of our competitors, the BMW Group implemented the requirements of the WLTP regulations early. The industry-wide shift to the new WLTP test cycle resulted in considerable supply distortions in Europe and unexpectedly intense competition, given that numerous competitor models which had not yet gained WLTP certification were registered before the 1 September deadline. Within the framework of its flexible production and sales strategy, the BMW Group responded to the situation by reducing its volume planning to focus on earnings quality. At the same time, increased statutory and non-statutory warranty measures resulted in significantly higher additions to provisions in the Automotive segment. Ongoing international trade conflicts also served to exacerbate the market situation and feed uncertainty. These circumstances resulted in greater-than-expected distortions in demand and unexpected pressure on pricing in several markets. Nevertheless, deliveries of the BMW Group’s three premium automotive brands (BMW, MINI and Rolls-Royce) grew by 1.1% to a new record figure of 2,490,664 units in 2018 (2017: 2,463,526 units). At € 97,480 million, Group revenues were at the previous year’s level (2017: € 98,282 million: -0.8%). Adjusted for currency factors, they increased by 1.2%. Due to the various adverse aspects arising in the third quarter, combined with high levels of upfront expenditure for research and development, profit before financial result was € 9,121 million (2017: € 9,899 million; -7.9%). At € 9,815 million, Group profit before tax in 2018 was moderately down on the previous year, but nevertheless the second-best result ever recorded in the company's history (2017: € 10,675 million; -8.1%). At 10.1% (2017: 10.9%), the return on sales before tax (EBT margin) exceeded the target value of ten percent. Group net profit amounted to € 7,207 million (2017: € 8,675 million; -16.9%). In the previous year, net profit was exceptionally high due to valuation effects of around € 1 billion arising in connection with the US tax reform. Despite very challenging conditions, the Automotive segment generated free cash flow of € 2,713 million in 2018 (2017: € 4,459 million). Based on the annual financial statement, the Board of Management and the Supervisory Board will propose payment of a dividend of € 3.50 per share of common stock and € 3.52 per share of preferred stock at the Annual General Meeting on 16 May 2019. This is the second highest payout in the company's history. The total dividend payment will amount to € 2.3 billion, or 32.0% of net profit (previous year: 30.3%3). Automotive segment exposed to volatile business conditions At € 85,846 million, Automotive segment revenues were at a similar level to the previous year (2017: € 85,742 million; +0.1%). Influenced by the factors referred to above and combined with high levels of upfront expenditure for research and development, EBIT was € 6,182 million (2017: € 7,888 million; -21.6%). Due to various adverse factors, the EBIT margin came in at 7.2% (2017: 9.2%). Profit before tax amounted to € 6,977 million (2017: € 8,717 million; -20.0%). A total of 2,125,026 BMW brand vehicles were delivered to customers worldwide (2017: 2,088,283 units; +1.8%). As well as the BMW 5 Series (382,753 units; +10.2%), the BMW X family in particular benefited from strong demand during 2018, with worldwide deliveries up significantly on the previous year to 792,605 units (+12.1%). The BMW X3 made an important contribution to this performance, with deliveries up by more than one third to 201,637 units (+37.7%). Worldwide deliveries of MINI brand vehicles during the twelve-month period totalled 361,531 units (2017: 371,388 units; -2.8%). The MINI Countryman recorded double-digit growth with 99,750 units (+17.5%). Almost every seventh MINI Countryman was a plug-in hybrid (13.3%). In 2018, Rolls-Royce Motor Cars achieved its best sales result in over 100 years of corporate history with 4,107 deliveries worldwide (2017: 3,362 units; +22.2%). The Rolls-Royce Phantom contributed substantially to this performance. While deliveries of the BMW Group’s three automotive brands in Europe remained at the previous year's high level (1,098,523; -0.3%), the Americas (457,715 units; +1.5%) and Asia (876,614 units; +3.3%) regions recorded slight growth. In China, volumes grew significantly as local production of the new BMW X3 was ramped up in the second half of the year. A total of 640,803 BMW Group vehicles were delivered to customers in the course of 2018 (+7.7%). Motorcycles segment revises model range BMW Motorrad revised its 2018 product range on a massive scale, adding nine new models. Production adjustments necessary during the ramp-up phase had a negative impact on deliveries during the first half of the year. Over the full year, 165,566 BMW motorcycles and maxi-scooters were delivered to customers (2017: 164,153 units; +0.9%). Revenues totalled € 2,173 million (2017: € 2,272 million; -4.4%). Profit before financial result came in at € 175 million (2017: € 207 million; -15.5%), corresponding to a segment EBIT margin of 8.1% (2017: 9.1%). Profit before tax amounted to € 169 million (2017: € 205 million; -17.6%). Financial Services segment records contract portfolio growth The Financial Services segment continued to perform well in 2018. In total, 1,908,640 new contracts were signed with retail customers in 2018 (2017: 1,828,604; +4.4%). The contract portfolio with retail customers comprised 5,708,032 contracts at 31 December 2018 (31 December 2017: 5,380,785 contracts; +6.1%). Segment revenues totalled € 28,165 million (2017: € 27,567 million; +2.2%). Profit before tax amounted to € 2,161 million (2017: € 2,207 million; -2.1%). Slight increase in workforce The BMW Group’s workforce comprised 134,682 employees at 31 December 2018, 3.7% more than at the end of 2017. The Group continues to recruit skilled staff and IT specialists in future-oriented areas such as digitalisation, autonomous driving and electric mobility. Business development in 2019 influenced by challenging environment The BMW Group sets itself ambitious targets, even in politically and economically turbulent times. With its young product portfolio, further rejuvenated by new models such as the BMW X7 and the seventh generation of the BMW 3 Series, the Group aims to remain the world’s leading manufacturer in the premium segment, underpinned by growth in all major sales regions. In view of the various model changes currently in progress, business is expected to develop more strongly in the second half of the year. In 2019, the BMW Group will continue to invest substantial amounts in new technologies and the mobility of the future. However, costs are also being driven up in other areas, including the significantly higher cost of complying with stricter CO2 legislation. Against this background, rising manufacturing costs are likely to have a dampening effect on earnings. Moreover, unfavourable currency factors and higher raw materials prices are expected to have a medium to high three-digit million negative impact. At the same time, the ongoing issue of international trade conflicts remains a source of uncertainty. Taking all these factors into consideration, the BMW Group is confident of its ability to achieve volume growth in the Automotive segment, where it is targeting a slight increase in the number of deliveries to customers in 2019. Within a stable business environment, an EBIT margin in the range of 8 to 10% remains the ambition for the BMW Group. However, its ability to influence underlying conditions is limited. Based on the prevailing conditions described above, an EBIT margin of 6 to 8% is forecast for the Automotive segment in 2019. The Motorcycles segment is forecast to achieve a solid increase in deliveries to customers thanks to its rejuvenated model range. As in 2018, the EBIT margin is expected to be within the target range of 8 to 10%. For its Financial Services segment, the BMW Group forecasts a return on equity at the previous year's level, and therefore above the underlying target of 14%. In addition to the various negative influences described above, the fact that some positive valuation effects recorded in 2018 will not be repeated in 2019 will result in a significant decline in the Group’s financial result. Group profit before tax is therefore also expected to be well below the previous year's level. Forecasts for the current year are based on the assumption that worldwide economic and political conditions will not change significantly. Any deterioration in conditions could have a negative impact on the outlook. The BMW Group will vigorously continue to implement measures necessary to promote growth, improved performance and efficiency, thereby creating the freedom to enable it to shape the future and secure its own competitiveness going forward. Thanks to its operational and financial strength, the BMW Group is in an excellent position to shape the current transformation of the automotive sector and further develop its leading role in the industry. The BMW Group – an Overview 2018 2017 Change in % Deliveries to customers Automotive units 2,490,664 2,463,526 1.1 thereof: BMW units 2,125,026 2,088,283 1.8 MINI units 361,531 371,881 -2.8 Rolls-Royce units 4,107 3,362 22.2 Motorcycles units 165,566 164,153 0.9 Workforce1 (compared to 31.12.2017) 134,682 129,932 3.7 EBIT margin Automotive segment 3 % 7.2 9.2 -2.0 % pts EBIT margin Motorcycles segment 3 % 8.1 9.1 -1.0 % pts EBT margin BMW Group 3 % 10.1 10.9 -0.8 % pts Revenues 3 € million 97,480 98,282 -0.8 thereof: Automotive 3 € million 85,846 85,742 0.1 Motorcycles 3 € million 2,173 2,272 -4.4 Financial Services € million 28,165 27,567 2.2 Other Entities € million 6 7 -14.3 Eliminations 3 € million -18,710 -17,306 -8.1 Profit before financial result (EBIT) 3 € million 9,121 9,899 -7.9 thereof: Automotive 3 € million 6,182 7,888 -21.6 Motorcycles € million 175 207 -15.5 Financial Services € million 2,190 2,194 -0.2 Other Entities € million -27 14 - Eliminations 3 € million 601 -404 - Profit before tax (EBT) 3 € million 9,815 10,675 -8.1 thereof: Automotive 3 € million 6,977 8,717 -20.0 Motorcycles € million 169 205 -17.6 Financial Services € million 2,161 2,207 -2.1 Other Entities € million -45 80 - Eliminations 3 € million 553 -534 - Income taxes 3 € million -2,575 -2,000 -28.8 Net profit for the year 3.4 € million 7,207 8,675 -16.9 Earnings per share 2.3 € 10.82/10.84 13.07/13.09 -17.2/-17.2 View full article
  8. BMW has issued a profit warning for 2019, saying that profits will be well below last year's 7.2€ billion. The company stated that higher raw material costs, unfavorable currency exchange, and compliance with stricter emissions standards are the main causes for the profit erosion. BMW is not planning for layoffs at this time, but those could come in the future as the company moves to simplify and consolidate its product portfolio. One area that will see cuts is in powertrains. BMW plans to cut the number of engine/transmission options in half and simplify platforms in a move to streamline operations. BMW plans to reduce the development time of new vehicles by one third through its PERFORMANCE > NEXT program. Part of the expected expense will be from the move to electrification. More from BMW's financial release on the next page. BMW Group sets strategic course for future Krüger: "Systematically working to ensure operationalexcellence" Operating efficiency: Performance > NEXT offers potentialefficiencies in excess of € 12 billion by 2022 Upfront expenditure expected to remain high New structure for sales divisions EBIT margin of 8 to 10 per cent remains ambition Challenges influence 2019 outlook Munich, Germany- March 20, 2019...On its way towards the mobility of the future, the BMW Group is taking strategic steps to enhance its operating performance on a sustainable basis. As well as systematically implementing its strategy NUMBER ONE > NEXT, the company is also focusing on faster processes, leaner structures and therefore greater efficiency. In view of the many challenges currently facing the automotive sector, the BMW Group is ensuring it maintains its financial strength to influence and decisively shape individual premium mobility moving into the next decade, just as it has over the past ten years. "After three years of Strategy NUMBER ONE > NEXT, we remain firmly on course, having established a strong position as one of the world's top providers of e-mobility. We lead the European market and will soon go into series production of our fifth generation of electric drivetrain systems. We’re significantly expanding our presence in the upper luxury class. Our first highly automated vehicle will become available in 2021 and we are already now paving the way for the development of the next generation of groundbreaking technology. In the field of mobility services, we are joining forces with Daimler AG to create even greater momentum," said Harald Krüger, Chairman of the Board of Management of BMW AG, in Munich on Wednesday. "We need to work systematically on our operational excellence in order to leverage these strategic advances and ensure our ability to use our own underlying strength to help shape the sector’s transformation going forward," he added. To compensate for the increasing volume of upfront expenditure needed to drive the mobility of the future, the BMW Group is enhancing its business performance by comprehensively rolling out an array of new models. In the upper luxury class, for instance, the new BMW 8 Series (both the Coupé and the Convertible) and the new BMW X7 have already made their debut. The fully revamped BMW 7 Series is on its way to dealerships and will be flanked by the launch of the BMW 8 Series Gran Coupé in the further course of this year. The Group's next step will be to significantly rejuvenate and expand its range in the compact class. With this aim in mind, the next generation BMW 1 Series will be launched in autumn 2019 and the BMW 2 Series Gran Coupé, a new and highly emotive model, will be added to the compact segment in spring 2020 with a view to attracting new customers. High potential for boosting efficiency with Performance > NEXT Since 2017, the BMW Group has also worked systematically with Performance > NEXT to improve structural efficiency along the entire value chain. In this respect, numerous decisions have either been taken or are already being implemented. In view of the growing challenges and demands on resources, the Group intends to expand and intensify these efforts. By the end of 2022, it expects to leverage potential efficiencies totalling more than 12 billion euros. Many of the measures aimed at reducing product complexity will then come to full fruition in the following years. "Our industry is witnessing rapid transformation. In this environment, a sustained high level of profitability is crucial if we are to continue driving change," said Nicolas Peter, Member of the Board of Management of BMW AG, Finance. "In view of the numerous additional factors negatively impacting earnings, we began to introduce countermeasures at an early stage and have taken a number of far-reaching decisions. Discipline and a clear focus on rigorous implementation are essential as we aim to emerge from these challenging times stronger than ever." Performance > NEXT will also benefit from the fact that processes can be significantly accelerated by the new opportunities digitalisation offers. For instance, development times for new vehicle models will be reduced by as much as one third. Among other savings, digital simulations and virtual validation could eliminate the need for some 2,500 expensive prototype vehicles by the year 2024. The BMW Group continues to recruit skilled workers and IT specialists on a selective basis to engage in forward-looking projects such as digitalisation, autonomous driving and electric mobility. Nevertheless, the target for 2019 is to keep the workforce at the previous year's level. Compared to earlier years, the scale of natural attrition in the workforce has been exacerbated by demographic factors (including the baby boomer phenomenon), a situation which means the BMW Group can focus even more intensively on issues that will shape the future and increase efficiency. In addition, with effect from 1 April 2019 the BMW, MINI and Rolls-Royce automotive brands will be combined within a single sales division, clearly signalling a move towards even leaner processes and more efficient structures throughout the company. On the product side, from 2021 onwards, up to 50 per cent of today's drivetrain variants will be eliminated in the transition to more sophisticated and flexible vehicle architectures. This approach will also enable the BMW Group to focus on the products most in demand. At model level, no successor will be developed for the current generation of the BMW 3 Series Gran Turismo. Moreover, the model portfolio is regularly assessed with a view to identifying additional potential to reduce complexity. Synergy and efficiency opportunities in indirect purchasing as well as in materials and production costs are also being leveraged. Upfront expenditure set to remain high The BMW Group intends to implement the measures outlined above to offset the ongoing high level of upfront expenditure required to embrace the mobility of the future. Substantial volumes of future-oriented expenditure are again planned for 2019. At € 5,029 million, capital expenditure in 2018 was 7.3% above the previous year’s high level (€ 4,688 million). The Capex ratio rose to 5.2% (2017: 4.8%). Investments included work connected with the introduction of new models in the Spartanburg, Dingolfing and Munich plants and the building of the Group’s plant in Mexico. As planned, research and development expenses in 2018 were significantly higher than in the previous year and totalled € 6,890 million (2017: € 6,108 million; +12.8%). R&D expenditure for the year was therefore equivalent to 7.1% of Group revenues (2017: 6.2%). In addition to ramping up the roll-out of new models, the focus is also on future-oriented topics such as autonomous driving and the systematic expansion of electric mobility. Pioneer systematically expands e-mobility product range With more than 350,000 units (over 130,000 fully electric vehicles and more than 220,000 plug-in hybrids) delivered to customers up to the end of 2018, the BMW Group is already a leading supplier of electrified vehicles and expects to have more than half a million units on the roads by the end of the year. At the beginning of March, the new plug-in hybrid versions of the BMW 3 Series, BMW 7 Series, BMW X5 and BMW X3, which now come with extended electric range, were showcased at the Geneva Motor Show. By the end of next year, the BMW Group will have more than ten new or revised models equipped with fourth-generation electric drivetrain technology ("Gen 4") on the roads. By the end of 2019, these will include the all-electric MINI Electric manufactured at the Oxford plant and, from 2020, the BMW iX3, which will be produced for the world market in Shenyang, China. Together with the pioneering BMW i3, the BMW i4 and the BMW iNEXT, the Group will have five all-electric models on the market by 2021 and the number is scheduled to rise to at least twelve models by 2025. Including the rapidly growing range of plug-in hybrids, the BMW Group’s product portfolio will then comprise at least 25 electrified models. This wide range of electrified models on offer will be made possible by highly flexible vehicle architectures and an equally agile global production system. Going forward, the BMW Group will be capable of manufacturing models with all-electric (BEV), hybrid-electric (PHEV) and conventional (ICE) drivetrains on one production line. The ability to integrate e-mobility in its production network will enable the BMW Group to respond even more flexibly as demand grows. The BMW Group is currently developing the fifth generation of its electric drivetrain, in which the interplay of electric motor, transmission, power electronics and battery will be further optimised. Integrating the electric motor, the transmission and power electronics also plays a role in cutting costs. Furthermore, the electric motor does not require rare earths, enabling the BMW Group to reduce its dependence on their availability. The fifth generation of the Group's electric drivetrain technology will be installed for the first time in the BMW iX3 from 2020. Cooperation for next generation of autonomous driving The BMW Group believes long-term partnerships within a flexible, scalable, non-exclusive platform are key to advancing the industrialisation of autonomous driving. As early as 2016, the BMW Group established a non-exclusive platform with technology specialists, suppliers and OEMs to take the technology to series maturity and has now successfully consolidated work in this area at the Autonomous Driving Campus in Unterschleißheim, near Munich. The generation of technologies currently under development will go into series production as Level 3 automation in the BMW iNEXT in 2021, this vehicle will also be Level 4-enabled for pilot projects. The BMW Group has joined forces with Daimler AG to advance the development of the next generation of technologies needed for autonomous driving. At the end of February, the two companies signed a Memorandum of Understanding (MoU) to jointly develop the technologies that are vital for future mobility. Initially, the focus will be on advancing the development of next-generation technologies for driver assistance systems, automated driving on highways and parking features (in each case up to SAE Level 4). The BMW Group and Daimler AG view their partnership as a long-term, strategic cooperation and aim to make next-level technologies widely available by the middle of the coming decade. Combining the outstanding expertise of the two companies will boost their joint innovative strength. Moreover, it will both accelerate and streamline the development of future technology generations. The development of current-generation technologies and the ongoing collaborations both companies have in this field will remain unaffected and continue as planned. Both parties will also explore additional partnerships with other technology companies and automotive manufacturers that could contribute to the success of the platform. Major investments in joint venture for mobility services The BMW Group and Daimler AG are also working together in the field of mobility services, creating a new global player that provides sustainable urban mobility for its customers. The two companies are investing more than one billion euros to develop and more closely intermesh their offerings for car-sharing, ride-hailing, parking, charging and multimodal transport. The cooperation comprises five joint ventures: REACH NOW (multimodal), CHARGE NOW (charging), FREE NOW (ride-hailing), PARK NOW (parking) and SHARE NOW (car-sharing). The common vision is clear: the five services will increasingly merge to form a single mobility service portfolio with an all-electric, self-driving fleet of vehicles that charge and park autonomously and also interconnect with other modes of transport. This service portfolio will be a key cornerstone in the BMW Group’s strategy as a mobility provider going forward. The cooperation represents the ideal approach for maximising opportunities in a growing market, while jointly shouldering the unavoidable cost of investment. Challenging conditions in the financial year 2018 In terms of its core business, the BMW Group had always expected 2018 to be a challenging year. Compared with 2017, alongside additional upfront expenditure for the mobility of the future, a high three-digit million euro negative impact from exchange-rate and raw materials price developments had been factored into expected earnings for the year. As announced on 25 September 2018, several additional factors dampened business performance in the third quarter. Unlike many of our competitors, the BMW Group implemented the requirements of the WLTP regulations early. The industry-wide shift to the new WLTP test cycle resulted in considerable supply distortions in Europe and unexpectedly intense competition, given that numerous competitor models which had not yet gained WLTP certification were registered before the 1 September deadline. Within the framework of its flexible production and sales strategy, the BMW Group responded to the situation by reducing its volume planning to focus on earnings quality. At the same time, increased statutory and non-statutory warranty measures resulted in significantly higher additions to provisions in the Automotive segment. Ongoing international trade conflicts also served to exacerbate the market situation and feed uncertainty. These circumstances resulted in greater-than-expected distortions in demand and unexpected pressure on pricing in several markets. Nevertheless, deliveries of the BMW Group’s three premium automotive brands (BMW, MINI and Rolls-Royce) grew by 1.1% to a new record figure of 2,490,664 units in 2018 (2017: 2,463,526 units). At € 97,480 million, Group revenues were at the previous year’s level (2017: € 98,282 million: -0.8%). Adjusted for currency factors, they increased by 1.2%. Due to the various adverse aspects arising in the third quarter, combined with high levels of upfront expenditure for research and development, profit before financial result was € 9,121 million (2017: € 9,899 million; -7.9%). At € 9,815 million, Group profit before tax in 2018 was moderately down on the previous year, but nevertheless the second-best result ever recorded in the company's history (2017: € 10,675 million; -8.1%). At 10.1% (2017: 10.9%), the return on sales before tax (EBT margin) exceeded the target value of ten percent. Group net profit amounted to € 7,207 million (2017: € 8,675 million; -16.9%). In the previous year, net profit was exceptionally high due to valuation effects of around € 1 billion arising in connection with the US tax reform. Despite very challenging conditions, the Automotive segment generated free cash flow of € 2,713 million in 2018 (2017: € 4,459 million). Based on the annual financial statement, the Board of Management and the Supervisory Board will propose payment of a dividend of € 3.50 per share of common stock and € 3.52 per share of preferred stock at the Annual General Meeting on 16 May 2019. This is the second highest payout in the company's history. The total dividend payment will amount to € 2.3 billion, or 32.0% of net profit (previous year: 30.3%3). Automotive segment exposed to volatile business conditions At € 85,846 million, Automotive segment revenues were at a similar level to the previous year (2017: € 85,742 million; +0.1%). Influenced by the factors referred to above and combined with high levels of upfront expenditure for research and development, EBIT was € 6,182 million (2017: € 7,888 million; -21.6%). Due to various adverse factors, the EBIT margin came in at 7.2% (2017: 9.2%). Profit before tax amounted to € 6,977 million (2017: € 8,717 million; -20.0%). A total of 2,125,026 BMW brand vehicles were delivered to customers worldwide (2017: 2,088,283 units; +1.8%). As well as the BMW 5 Series (382,753 units; +10.2%), the BMW X family in particular benefited from strong demand during 2018, with worldwide deliveries up significantly on the previous year to 792,605 units (+12.1%). The BMW X3 made an important contribution to this performance, with deliveries up by more than one third to 201,637 units (+37.7%). Worldwide deliveries of MINI brand vehicles during the twelve-month period totalled 361,531 units (2017: 371,388 units; -2.8%). The MINI Countryman recorded double-digit growth with 99,750 units (+17.5%). Almost every seventh MINI Countryman was a plug-in hybrid (13.3%). In 2018, Rolls-Royce Motor Cars achieved its best sales result in over 100 years of corporate history with 4,107 deliveries worldwide (2017: 3,362 units; +22.2%). The Rolls-Royce Phantom contributed substantially to this performance. While deliveries of the BMW Group’s three automotive brands in Europe remained at the previous year's high level (1,098,523; -0.3%), the Americas (457,715 units; +1.5%) and Asia (876,614 units; +3.3%) regions recorded slight growth. In China, volumes grew significantly as local production of the new BMW X3 was ramped up in the second half of the year. A total of 640,803 BMW Group vehicles were delivered to customers in the course of 2018 (+7.7%). Motorcycles segment revises model range BMW Motorrad revised its 2018 product range on a massive scale, adding nine new models. Production adjustments necessary during the ramp-up phase had a negative impact on deliveries during the first half of the year. Over the full year, 165,566 BMW motorcycles and maxi-scooters were delivered to customers (2017: 164,153 units; +0.9%). Revenues totalled € 2,173 million (2017: € 2,272 million; -4.4%). Profit before financial result came in at € 175 million (2017: € 207 million; -15.5%), corresponding to a segment EBIT margin of 8.1% (2017: 9.1%). Profit before tax amounted to € 169 million (2017: € 205 million; -17.6%). Financial Services segment records contract portfolio growth The Financial Services segment continued to perform well in 2018. In total, 1,908,640 new contracts were signed with retail customers in 2018 (2017: 1,828,604; +4.4%). The contract portfolio with retail customers comprised 5,708,032 contracts at 31 December 2018 (31 December 2017: 5,380,785 contracts; +6.1%). Segment revenues totalled € 28,165 million (2017: € 27,567 million; +2.2%). Profit before tax amounted to € 2,161 million (2017: € 2,207 million; -2.1%). Slight increase in workforce The BMW Group’s workforce comprised 134,682 employees at 31 December 2018, 3.7% more than at the end of 2017. The Group continues to recruit skilled staff and IT specialists in future-oriented areas such as digitalisation, autonomous driving and electric mobility. Business development in 2019 influenced by challenging environment The BMW Group sets itself ambitious targets, even in politically and economically turbulent times. With its young product portfolio, further rejuvenated by new models such as the BMW X7 and the seventh generation of the BMW 3 Series, the Group aims to remain the world’s leading manufacturer in the premium segment, underpinned by growth in all major sales regions. In view of the various model changes currently in progress, business is expected to develop more strongly in the second half of the year. In 2019, the BMW Group will continue to invest substantial amounts in new technologies and the mobility of the future. However, costs are also being driven up in other areas, including the significantly higher cost of complying with stricter CO2 legislation. Against this background, rising manufacturing costs are likely to have a dampening effect on earnings. Moreover, unfavourable currency factors and higher raw materials prices are expected to have a medium to high three-digit million negative impact. At the same time, the ongoing issue of international trade conflicts remains a source of uncertainty. Taking all these factors into consideration, the BMW Group is confident of its ability to achieve volume growth in the Automotive segment, where it is targeting a slight increase in the number of deliveries to customers in 2019. Within a stable business environment, an EBIT margin in the range of 8 to 10% remains the ambition for the BMW Group. However, its ability to influence underlying conditions is limited. Based on the prevailing conditions described above, an EBIT margin of 6 to 8% is forecast for the Automotive segment in 2019. The Motorcycles segment is forecast to achieve a solid increase in deliveries to customers thanks to its rejuvenated model range. As in 2018, the EBIT margin is expected to be within the target range of 8 to 10%. For its Financial Services segment, the BMW Group forecasts a return on equity at the previous year's level, and therefore above the underlying target of 14%. In addition to the various negative influences described above, the fact that some positive valuation effects recorded in 2018 will not be repeated in 2019 will result in a significant decline in the Group’s financial result. Group profit before tax is therefore also expected to be well below the previous year's level. Forecasts for the current year are based on the assumption that worldwide economic and political conditions will not change significantly. Any deterioration in conditions could have a negative impact on the outlook. The BMW Group will vigorously continue to implement measures necessary to promote growth, improved performance and efficiency, thereby creating the freedom to enable it to shape the future and secure its own competitiveness going forward. Thanks to its operational and financial strength, the BMW Group is in an excellent position to shape the current transformation of the automotive sector and further develop its leading role in the industry. The BMW Group – an Overview 2018 2017 Change in % Deliveries to customers Automotive units 2,490,664 2,463,526 1.1 thereof: BMW units 2,125,026 2,088,283 1.8 MINI units 361,531 371,881 -2.8 Rolls-Royce units 4,107 3,362 22.2 Motorcycles units 165,566 164,153 0.9 Workforce1 (compared to 31.12.2017) 134,682 129,932 3.7 EBIT margin Automotive segment 3 % 7.2 9.2 -2.0 % pts EBIT margin Motorcycles segment 3 % 8.1 9.1 -1.0 % pts EBT margin BMW Group 3 % 10.1 10.9 -0.8 % pts Revenues 3 € million 97,480 98,282 -0.8 thereof: Automotive 3 € million 85,846 85,742 0.1 Motorcycles 3 € million 2,173 2,272 -4.4 Financial Services € million 28,165 27,567 2.2 Other Entities € million 6 7 -14.3 Eliminations 3 € million -18,710 -17,306 -8.1 Profit before financial result (EBIT) 3 € million 9,121 9,899 -7.9 thereof: Automotive 3 € million 6,182 7,888 -21.6 Motorcycles € million 175 207 -15.5 Financial Services € million 2,190 2,194 -0.2 Other Entities € million -27 14 - Eliminations 3 € million 601 -404 - Profit before tax (EBT) 3 € million 9,815 10,675 -8.1 thereof: Automotive 3 € million 6,977 8,717 -20.0 Motorcycles € million 169 205 -17.6 Financial Services € million 2,161 2,207 -2.1 Other Entities € million -45 80 - Eliminations 3 € million 553 -534 - Income taxes 3 € million -2,575 -2,000 -28.8 Net profit for the year 3.4 € million 7,207 8,675 -16.9 Earnings per share 2.3 € 10.82/10.84 13.07/13.09 -17.2/-17.2
  9. General Motors CEO Mary Barra spoke yesterday at the Barclays Global Automotive Conference in New York. During her talk, Barra said the company expects to make a profit off electric vehicles once they launch their next-generation EV platform. “We are working to provide desirable, obtainable and profitable vehicles that deliver a range of over 300 miles. There’s a lot of really creative things we’re doing to achieve that profitability point for that new platform,” Barra said to investors. The next-generation modular platform, due in 2021 will play a pivotal role in GM's plan to launch 20 all-new electric and hydrogen fuel cell vehicles by 2023. The platform will help drop the total per-unit cost by 30 percent or more. It will be used across a number of GM brands and various segments. GM is also working on a new battery system that will cut the per-kilowatt-hour from $145 to under $100 by 2021. Before these two launches, GM will be introducing four new EV and hydrogen vehicles. Two of those will be launch by April 2019 according to a GM spokesman. At least two vehicles will be small crossovers according to Automotive News. It is expected the electric models will use the underpinnings of the Chevrolet Bolt. The company has a set a goal of a million electric vehicles by 2026 - with most happening in China due to their strict production quotas for EVs. Source: Automotive News (Subscription Required), Reuters
  10. General Motors CEO Mary Barra spoke yesterday at the Barclays Global Automotive Conference in New York. During her talk, Barra said the company expects to make a profit off electric vehicles once they launch their next-generation EV platform. “We are working to provide desirable, obtainable and profitable vehicles that deliver a range of over 300 miles. There’s a lot of really creative things we’re doing to achieve that profitability point for that new platform,” Barra said to investors. The next-generation modular platform, due in 2021 will play a pivotal role in GM's plan to launch 20 all-new electric and hydrogen fuel cell vehicles by 2023. The platform will help drop the total per-unit cost by 30 percent or more. It will be used across a number of GM brands and various segments. GM is also working on a new battery system that will cut the per-kilowatt-hour from $145 to under $100 by 2021. Before these two launches, GM will be introducing four new EV and hydrogen vehicles. Two of those will be launch by April 2019 according to a GM spokesman. At least two vehicles will be small crossovers according to Automotive News. It is expected the electric models will use the underpinnings of the Chevrolet Bolt. The company has a set a goal of a million electric vehicles by 2026 - with most happening in China due to their strict production quotas for EVs. Source: Automotive News (Subscription Required), Reuters View full article
  11. GM States Desire to be First to Profit from Mass Selling EVs. http://www.greencarreports.com/news/1110469_gm-goal-profitable-affordable-electric-cars-built-in-big-numbers Seems GM is focusing on lower the cost of the batteries sooner rather than later and to turn a profit from EVs. This brings up the question: With China pushing for such high numbers of EV to be sold in that country, could we see a faster decline of ICE auto's and a rapid rise of EVs?
  12. G. David Felt Staff Writer Alternative Energy - www.CheersandGears.com Tesla Reports First Profit after 12 Quarterly Losses! Surprise, Surprise, Tesla posts a $22 million profit for it's latest quarter. How did Tesla do this? Wall Street Story WSJ reports that Tesla reports the following numbers: Selling pollution tax credits to other auto makers. Gross profit from the credits soared to $139 million from $39 million a year ago. Revenue is up to $2.3 billion from $936.8 million a year earlier. Tesla said it generated free cash flow, repaid $600 million in debt and finished September with $3.1 billion in cash, a decline of $162 million from the end of June. Tesla also lowered its forecast for capital spending this year to $1.8 billion from $2.25 billion. About $1 billion of that spending could occur in the fourth quarter, it said. Shares were up 5% to $212.05 in after-hours trading on Wednesday. WSJ says this has been helped by Tesla's newest Model S version that starts now at $66,000 which contributed greatly to their bottom line as the Q3 was the first full quarter of Entry level Model S sales. Barclays auto analysts has stated that Tesla will need $2.5 billion through the end of 2017 for the Model 3 rollout and completion of the battery factory. WSJ Web Page Story
  13. Nearly four years ago, Volkswagen made the pronouncement that it wanted to be the world's largest automaker by 2018. But in light of the diesel scandal, Volkswagen is taking that dream off the table and focusing on trying to survive. Today, Volkswagen Group CEO Matthias Müller announced a new plan called Strategy 2025 that will focus on improving profit rather than volume growth. The plan will be developed over the next few months and will be shown sometime next year. “Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be ‘Faster, Higher, Larger,’ especially return on sales,” said Müller in a statement. Along with the announcement of a new plan, Müller outlined some of the key steps that will help the company get off the shaky ground it currently finds itself on. The first step is to reduce the number of models Volkswagen and its sister brands produce. Currently, the Volkswagen group produces over 300 models around the world. "We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings," Müller said to analysts on a call this week. Another priority for Volkswagen will be giving more independence to the brands and regions to allow a "culture of openness and cooperation" to develop. Source: Automotive News (Subscription Required), Car and Driver, Volkswagen Press Release is on Page 2 Matthias Müller unveils next steps for the Volkswagen Group Support for customers top priority Volkswagen looks beyond current crisis New strategy to be unveiled in 2016 Matthias Müller, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, has announced the five key steps to realign the Group. "We have to look beyond the current situation and create the conditions for Volkswagen's successful further development", said Müller in Wolfsburg on Wednesday. He presented a five point plan that he intends to use so that Volkswagen remains one of the world's leading automobile manufacturers in the future. Müller is confident that "Volkswagen will emerge from the current situation stronger than before". He announced that the cornerstones of the Group's Strategy 2025 will be presented next year. The Volkswagen CEO explained that his top priority is to support the customers affected by the diesel issue. "Our customers are at the core of everything that our 600,000 employees worldwide do", he said. According to Müller, Volkswagen is working intensively to develop effective technical solutions. In contact with the Kraftfahrtbundesamt (KBA – German Federal Motor Transport Authority) the implementation is set to begin in January 2016. Müller's second priority is to systematically drive forward and complete the investigation into what happened. "We must uncover the truth and learn from it", he said, adding that Volkswagen is being extremely thorough in its analysis. For this purpose, audit firm Deloitte has been engaged in addition to the steps already announced. According to Müller, those responsible for what has happened must face severe consequences. Müller's third priority is to introduce new structures in the Volkswagen Group. "The key point is that Group management will be decentralized to a greater extent in the future", he said, with more independence for the brands and regions. Müller stated that the Board of Management will focus on addressing cross-brand strategies, leveraging synergies and ensuring that Group resources are used effectively. "We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings." As his fourth priority, Müller is driving forward a realignment of the Group's culture and management behavior. He noted that the pursuit of perfection, the employees' commitment and social responsibility in the Volkswagen Group must be retained. However, he believes that changes are necessary in how Volkswagen communicates and how it handles its mistakes. "We need a culture of openness and cooperation." Müller also called on everybody at Volkswagen to display more courage, greater creativity and a more entrepreneurial spirit in their dealings with one another. The Volkswagen CEO announced that the fifth priority will be to transform the Group's Strategy 2018 into a Strategy 2025. "Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be "Faster, Higher, Larger", especially return on sales." According to Müller, the point is not to sell 100,000 more or fewer vehicles than a major competitor. Instead, the real issue is qualitative growth. Müller announced that the cornerstones of the Group's Strategy 2025 will be developed over the coming months, and that it would be unveiled mid-way through next year. View full article
  14. Nearly four years ago, Volkswagen made the pronouncement that it wanted to be the world's largest automaker by 2018. But in light of the diesel scandal, Volkswagen is taking that dream off the table and focusing on trying to survive. Today, Volkswagen Group CEO Matthias Müller announced a new plan called Strategy 2025 that will focus on improving profit rather than volume growth. The plan will be developed over the next few months and will be shown sometime next year. “Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be ‘Faster, Higher, Larger,’ especially return on sales,” said Müller in a statement. Along with the announcement of a new plan, Müller outlined some of the key steps that will help the company get off the shaky ground it currently finds itself on. The first step is to reduce the number of models Volkswagen and its sister brands produce. Currently, the Volkswagen group produces over 300 models around the world. "We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings," Müller said to analysts on a call this week. Another priority for Volkswagen will be giving more independence to the brands and regions to allow a "culture of openness and cooperation" to develop. Source: Automotive News (Subscription Required), Car and Driver, Volkswagen Press Release is on Page 2 Matthias Müller unveils next steps for the Volkswagen Group Support for customers top priority Volkswagen looks beyond current crisis New strategy to be unveiled in 2016 Matthias Müller, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, has announced the five key steps to realign the Group. "We have to look beyond the current situation and create the conditions for Volkswagen's successful further development", said Müller in Wolfsburg on Wednesday. He presented a five point plan that he intends to use so that Volkswagen remains one of the world's leading automobile manufacturers in the future. Müller is confident that "Volkswagen will emerge from the current situation stronger than before". He announced that the cornerstones of the Group's Strategy 2025 will be presented next year. The Volkswagen CEO explained that his top priority is to support the customers affected by the diesel issue. "Our customers are at the core of everything that our 600,000 employees worldwide do", he said. According to Müller, Volkswagen is working intensively to develop effective technical solutions. In contact with the Kraftfahrtbundesamt (KBA – German Federal Motor Transport Authority) the implementation is set to begin in January 2016. Müller's second priority is to systematically drive forward and complete the investigation into what happened. "We must uncover the truth and learn from it", he said, adding that Volkswagen is being extremely thorough in its analysis. For this purpose, audit firm Deloitte has been engaged in addition to the steps already announced. According to Müller, those responsible for what has happened must face severe consequences. Müller's third priority is to introduce new structures in the Volkswagen Group. "The key point is that Group management will be decentralized to a greater extent in the future", he said, with more independence for the brands and regions. Müller stated that the Board of Management will focus on addressing cross-brand strategies, leveraging synergies and ensuring that Group resources are used effectively. "We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings." As his fourth priority, Müller is driving forward a realignment of the Group's culture and management behavior. He noted that the pursuit of perfection, the employees' commitment and social responsibility in the Volkswagen Group must be retained. However, he believes that changes are necessary in how Volkswagen communicates and how it handles its mistakes. "We need a culture of openness and cooperation." Müller also called on everybody at Volkswagen to display more courage, greater creativity and a more entrepreneurial spirit in their dealings with one another. The Volkswagen CEO announced that the fifth priority will be to transform the Group's Strategy 2018 into a Strategy 2025. "Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be "Faster, Higher, Larger", especially return on sales." According to Müller, the point is not to sell 100,000 more or fewer vehicles than a major competitor. Instead, the real issue is qualitative growth. Müller announced that the cornerstones of the Group's Strategy 2025 will be developed over the coming months, and that it would be unveiled mid-way through next year.
  15. The Ford Flex is loved by automotive writers, their owners, and Consumer Reports which recommends the model. But with all of this good news, you would think the Flex would be a big seller. Not at all. Ford Flex Sales in December 2014 totaled 1,786 units, a 24.9 percent decrease when compared to December 2013 and well behind Ford's other three-row crossover, the Explorer. Automotive News says that the average Flex sales totaled around eight models. Pair this with no hint of a next-generation Flex anywhere, it seems the model will be heading into the sunset. Possibly not. Automotive News says there are two key reasons for why the Flex is still around. Ford makes a nice profit on every Flex sold. Flex is very popular in California. About a quarter of Flex models (around 446) were sold in the state. "You either love it or you hate it. It's one of our top sellers. Lease loyalty on it is very high. People lease it and then come back and get another one," said Lee Dibble, a sales manager at Vista Ford-Lincoln of Oxnard - a city near LA. "It's becoming a regional product that we're embracing as such," said Matt Zuehlk, marketing manager for the Flex and Explorer. Helping the Flex is the sister model, the Explorer. With monthly sales around 20,000 mark, this helps reduce the costs and margins on both models. As for why we haven't heard any hint of a next-generation, Zuehlk explained that the refresh done in 2013, "was progressive enough to carry us forward for the interim." Editor's Update: The original version of this article incorrectly cited December 2014 sales as full year sales. Full year 2014 sales of the Flex are 23,882, down 8.2% I have corrected this. -DD Source: Automotive News (Subscription Required) View full article
  16. The Ford Flex is loved by automotive writers, their owners, and Consumer Reports which recommends the model. But with all of this good news, you would think the Flex would be a big seller. Not at all. Ford Flex Sales in December 2014 totaled 1,786 units, a 24.9 percent decrease when compared to December 2013 and well behind Ford's other three-row crossover, the Explorer. Automotive News says that the average Flex sales totaled around eight models. Pair this with no hint of a next-generation Flex anywhere, it seems the model will be heading into the sunset. Possibly not. Automotive News says there are two key reasons for why the Flex is still around. Ford makes a nice profit on every Flex sold. Flex is very popular in California. About a quarter of Flex models (around 446) were sold in the state. "You either love it or you hate it. It's one of our top sellers. Lease loyalty on it is very high. People lease it and then come back and get another one," said Lee Dibble, a sales manager at Vista Ford-Lincoln of Oxnard - a city near LA. "It's becoming a regional product that we're embracing as such," said Matt Zuehlk, marketing manager for the Flex and Explorer. Helping the Flex is the sister model, the Explorer. With monthly sales around 20,000 mark, this helps reduce the costs and margins on both models. As for why we haven't heard any hint of a next-generation, Zuehlk explained that the refresh done in 2013, "was progressive enough to carry us forward for the interim." Editor's Update: The original version of this article incorrectly cited December 2014 sales as full year sales. Full year 2014 sales of the Flex are 23,882, down 8.2% I have corrected this. -DD Source: Automotive News (Subscription Required)
  17. After seven years of not really introducing new products and posting losses and declining sales, Mitsubishi is making a comeback in the U.S. The automaker expects to make a to make an operating profit of $27 million, and boosted sales projections to 116,000 vehicles for the fiscal year that ends next March. "One of the important efforts inside the company has been turning North America from red ink to black. Finally we can realize that," said Mitsubishi Motors CEO Osamu Masuko. Makuko credits the Outlander Sport and Mirage for getting Mitsubishi back in the black. Through October, Mitsubishi has seen sales climb to 64,564 vehicles, up 30 percent. With all of this good news, Mitsubishi wants to capitalize on it. The company plans on introducing some new models into the U.S. including a sedan version of the Mirage and the Outlander PHEV. Masuko also said that the company is considering bringing back the Montero (sold as the Pajero elsewhere) to the U.S. "We are putting our emphasis on SUVs in the United States. So we have to think about introducing the next-generation Pajero to the United States. There's going to be a PHEV version. And we would like to introduce it," said Masuko. What about the big sedan that will fill in the hole left by Galant? Mitsubishi and Renault have been in talks this month about this very thing. Source: Automotive News (Subscription Required) View full article
  18. After seven years of not really introducing new products and posting losses and declining sales, Mitsubishi is making a comeback in the U.S. The automaker expects to make a to make an operating profit of $27 million, and boosted sales projections to 116,000 vehicles for the fiscal year that ends next March. "One of the important efforts inside the company has been turning North America from red ink to black. Finally we can realize that," said Mitsubishi Motors CEO Osamu Masuko. Makuko credits the Outlander Sport and Mirage for getting Mitsubishi back in the black. Through October, Mitsubishi has seen sales climb to 64,564 vehicles, up 30 percent. With all of this good news, Mitsubishi wants to capitalize on it. The company plans on introducing some new models into the U.S. including a sedan version of the Mirage and the Outlander PHEV. Masuko also said that the company is considering bringing back the Montero (sold as the Pajero elsewhere) to the U.S. "We are putting our emphasis on SUVs in the United States. So we have to think about introducing the next-generation Pajero to the United States. There's going to be a PHEV version. And we would like to introduce it," said Masuko. What about the big sedan that will fill in the hole left by Galant? Mitsubishi and Renault have been in talks this month about this very thing. Source: Automotive News (Subscription Required)
  19. Opel CEO Karl-Thomas Neumann told reporters at a briefing that he confident the automaker will return to profit by 2016, and become the number two in the European passenger car market by 2022. A bit ambitious to say in the least. How does Opel plan on doing this? Well the automaker has been working on hard on cutting losses by improving the utilisation of plants, increasing sales revenue, closing one of their plants, and cutting costs on product and structural items. "I have a lot of confidence about achieving our interim goal," Neumann said about the profit goal. As for becoming the number two automaker in the European marketplace, Opel plans on launching 27 new models and 17 new engines between 2014 and 2018. Opel also plans on getting closer to General Motors by utilizing more technologies from the company and strengthening its relationship with Buick. Source: Reuters William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster. View full article
  20. Opel CEO Karl-Thomas Neumann told reporters at a briefing that he confident the automaker will return to profit by 2016, and become the number two in the European passenger car market by 2022. A bit ambitious to say in the least. How does Opel plan on doing this? Well the automaker has been working on hard on cutting losses by improving the utilisation of plants, increasing sales revenue, closing one of their plants, and cutting costs on product and structural items. "I have a lot of confidence about achieving our interim goal," Neumann said about the profit goal. As for becoming the number two automaker in the European marketplace, Opel plans on launching 27 new models and 17 new engines between 2014 and 2018. Opel also plans on getting closer to General Motors by utilizing more technologies from the company and strengthening its relationship with Buick. Source: Reuters William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster.
  21. William Maley Staff Writer - CheersandGears.com August 2, 2012 General Motors released their second quarter earnings report and the results are a bit disappointing. The company posted a net income of $1.5 billion and a revenue of $37.6 billion. Those numbers are significantly down from the same figures in the second quarter of 2011, when GM posted a net income of $2.5 billion and a revenue of $39.4 billion. That's a drop of 40% in income and a 4.6% drop in revenue. This announcement comes a day after GM released their sales results for July, which saw sales drop by 6% compared to 2011 sales. Part of the decline was due to declining fleet and rental sales. The other part was due to competitors like Toyota and Honda clawing back sales they had lost due the earthquake and tsunami last march. “Our results in North America, our International Operations and at GM Financial were solid but we clearly have more work to do to offset the headwinds we face, especially in regions like Europe and South America,” said GM CEO Dan Akerson. Europe was what hurt GM the most, posting a $400 million loss in the second quarter. That's a 400% increase when compared to a $100 million loss in the second quarter of last year. South America operations broke even in this quarter, but had posted $100 million profit in the second-quarter of 2011. GM International Operations, which includes the Chinese and Indian markets, posted a profit of $600 million, which matches second quarter results from last year. North America was one bright spot for GM, posting a $2 billion profit for the quarter, down from $2.2 billion in the second quarter of 2011. William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster. Press Release is on Page 2 GM Reports Second Quarter Net Income of $1.5 Billion and EBIT-adjusted of $2.1 Billion DETROIT – General Motors Co. (NYSE: GM) today announced second quarter net income attributable to common stockholders of $1.5 billion, or $0.90 per fully diluted share. In the second quarter a year ago, GM’s net income attributable to common stockholders was $2.5 billion, or $1.54 per fully diluted share. Net revenue in the second quarter of 2012 was $37.6 billion, compared with $39.4 billion in the second quarter of 2011. The decrease was due almost entirely to the strengthening of the U.S. dollar versus other major currencies. Earnings before interest and tax (EBIT) adjusted was $2.1 billion, compared with $3.0 billion in the second quarter of 2011. Total restructuring expense included in EBIT-adjusted for the second quarter of 2012 was $0.1 billion. “Our results in North America, our International Operations and at GM Financial were solid but we clearly have more work to do to offset the headwinds we face, especially in regions like Europe and South America,” said GM chairman and CEO Dan Akerson. “Despite the challenging environment, GM has now achieved 10 consecutive quarters of profitability, which is a milestone the company has not achieved in more than a decade.” GM Results Overview (in billions except for per share amounts) Q2 2012 Q2 2011 Revenue $37.6 $39.4 Net income attributable to common stockholders $1.5 $2.5 Earnings per share (EPS) fully diluted $0.90 $1.54 Impact of special items on EPS fully diluted - - EBIT-adjusted $2.1 $3.0 Automotive net cash flow from operating activities $3.8 $5.0 Automotive free cash flow $1.7 $3.8 Segment Results GM North America (GMNA) reported EBIT-adjusted of $2.0 billion, compared with $2.2 billion in the second quarter of 2011. GM Europe (GME) reported an EBIT-adjusted loss of $0.4 billion, compared with EBIT-adjusted of $0.1 billion in second quarter of 2011. GM International Operations (GMIO) reported EBIT-adjusted of $0.6 billion, equal to the second quarter of 2011. GM South America (GMSA) reported breakeven results on an EBIT-adjusted basis, compared with EBIT-adjusted of $0.1 billion in the second quarter of 2011. The second quarter 2012 results include $0.1 billion in restructuring expenses. GM Financial earnings before tax was $0.2 billion for the quarter, compared with $0.1 billion a year ago. In the Corporate segment, GM reported EBIT-adjusted of $(0.2) billion, of which $(0.1) billion was attributable to a non-cash foreign exchange loss. Cash Flow and Liquidity For the quarter, automotive cash flow from operating activities was $3.8 billion and automotive free cash flow was $1.7 billion. GM ended the quarter with very strong total automotive liquidity of $38.5 billion. Automotive cash and marketable securities was $32.6 billion, compared with $31.5 billion at the end of the first quarter of 2012. At the end of the first quarter, GM indicated that GMNA’s results for the second and third quarters of 2012 were expected to be comparable to the first quarter. Second quarter GMNA results were stronger in part due to timing of spending that was deferred to the third quarter. GM continues to expect that the average of its second and third quarter EBIT-adjusted in GMNA will be comparable to first quarter results. “We’re executing an aggressive product plan around the world, and at the same time we are working systematically to simplify the business and truly leverage our scale to grow our margins,” said Dan Ammann, senior vice president and CFO. General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM’s brands include Chevrolet and Cadillac, as well as Baojun, Buick, GMC, Holden, Isuzu, Jiefang, Opel, Vauxhall and Wuling. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com. Forward-Looking Statements In this press release and in related comments by our management, our use of the words “expect,” “anticipate,” “possible,” “potential,” “target,” “believe,” “commit,” “intend,” “continue,” “may,” “would,” “could,” “should,” “project,” “projected,” “positioned” or similar expressions is intended to identify forward-looking statements that represent our current judgment about possible future events. We believe these judgments are reasonable, but these statements are not guarantees of any events or financial results, and our actual results may differ materially due to a variety of important factors. Among other items, such factors might include: our ability to realize production efficiencies and to achieve reductions in costs as a result of our restructuring initiatives and labor modifications; our ability to maintain quality control over our vehicles and avoid material vehicle recalls; our ability to maintain adequate liquidity and financing sources and an appropriate level of debt, including as required to fund our planned significant investment in new technology; the ability of our suppliers to timely deliver parts, components and systems; our ability to realize successful vehicle applications of new technology; the overall strength and stability of our markets, particularly Europe; and our ability to continue to attract new customers, particularly for our new products. GM's most recent annual report on Form 10-K and quarterly reports on Form 10-Q provides information about these and other factors, which we may revise or supplement in future reports to the SEC.
  22. William Maley Staff Writer - CheersandGears.com August 2, 2012 General Motors released their second quarter earnings report and the results are a bit disappointing. The company posted a net income of $1.5 billion and a revenue of $37.6 billion. Those numbers are significantly down from the same figures in the second quarter of 2011, when GM posted a net income of $2.5 billion and a revenue of $39.4 billion. That's a drop of 40% in income and a 4.6% drop in revenue. This announcement comes a day after GM released their sales results for July, which saw sales drop by 6% compared to 2011 sales. Part of the decline was due to declining fleet and rental sales. The other part was due to competitors like Toyota and Honda clawing back sales they had lost due the earthquake and tsunami last march. “Our results in North America, our International Operations and at GM Financial were solid but we clearly have more work to do to offset the headwinds we face, especially in regions like Europe and South America,” said GM CEO Dan Akerson. Europe was what hurt GM the most, posting a $400 million loss in the second quarter. That's a 400% increase when compared to a $100 million loss in the second quarter of last year. South America operations broke even in this quarter, but had posted $100 million profit in the second-quarter of 2011. GM International Operations, which includes the Chinese and Indian markets, posted a profit of $600 million, which matches second quarter results from last year. North America was one bright spot for GM, posting a $2 billion profit for the quarter, down from $2.2 billion in the second quarter of 2011. William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster. Press Release is on Page 2 GM Reports Second Quarter Net Income of $1.5 Billion and EBIT-adjusted of $2.1 Billion DETROIT – General Motors Co. (NYSE: GM) today announced second quarter net income attributable to common stockholders of $1.5 billion, or $0.90 per fully diluted share. In the second quarter a year ago, GM’s net income attributable to common stockholders was $2.5 billion, or $1.54 per fully diluted share. Net revenue in the second quarter of 2012 was $37.6 billion, compared with $39.4 billion in the second quarter of 2011. The decrease was due almost entirely to the strengthening of the U.S. dollar versus other major currencies. Earnings before interest and tax (EBIT) adjusted was $2.1 billion, compared with $3.0 billion in the second quarter of 2011. Total restructuring expense included in EBIT-adjusted for the second quarter of 2012 was $0.1 billion. “Our results in North America, our International Operations and at GM Financial were solid but we clearly have more work to do to offset the headwinds we face, especially in regions like Europe and South America,” said GM chairman and CEO Dan Akerson. “Despite the challenging environment, GM has now achieved 10 consecutive quarters of profitability, which is a milestone the company has not achieved in more than a decade.” GM Results Overview (in billions except for per share amounts) Q2 2012 Q2 2011 Revenue $37.6 $39.4 Net income attributable to common stockholders $1.5 $2.5 Earnings per share (EPS) fully diluted $0.90 $1.54 Impact of special items on EPS fully diluted - - EBIT-adjusted $2.1 $3.0 Automotive net cash flow from operating activities $3.8 $5.0 Automotive free cash flow $1.7 $3.8 Segment Results GM North America (GMNA) reported EBIT-adjusted of $2.0 billion, compared with $2.2 billion in the second quarter of 2011. GM Europe (GME) reported an EBIT-adjusted loss of $0.4 billion, compared with EBIT-adjusted of $0.1 billion in second quarter of 2011. GM International Operations (GMIO) reported EBIT-adjusted of $0.6 billion, equal to the second quarter of 2011. GM South America (GMSA) reported breakeven results on an EBIT-adjusted basis, compared with EBIT-adjusted of $0.1 billion in the second quarter of 2011. The second quarter 2012 results include $0.1 billion in restructuring expenses. GM Financial earnings before tax was $0.2 billion for the quarter, compared with $0.1 billion a year ago. In the Corporate segment, GM reported EBIT-adjusted of $(0.2) billion, of which $(0.1) billion was attributable to a non-cash foreign exchange loss. Cash Flow and Liquidity For the quarter, automotive cash flow from operating activities was $3.8 billion and automotive free cash flow was $1.7 billion. GM ended the quarter with very strong total automotive liquidity of $38.5 billion. Automotive cash and marketable securities was $32.6 billion, compared with $31.5 billion at the end of the first quarter of 2012. At the end of the first quarter, GM indicated that GMNA’s results for the second and third quarters of 2012 were expected to be comparable to the first quarter. Second quarter GMNA results were stronger in part due to timing of spending that was deferred to the third quarter. GM continues to expect that the average of its second and third quarter EBIT-adjusted in GMNA will be comparable to first quarter results. “We’re executing an aggressive product plan around the world, and at the same time we are working systematically to simplify the business and truly leverage our scale to grow our margins,” said Dan Ammann, senior vice president and CFO. General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM’s brands include Chevrolet and Cadillac, as well as Baojun, Buick, GMC, Holden, Isuzu, Jiefang, Opel, Vauxhall and Wuling. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com. Forward-Looking Statements In this press release and in related comments by our management, our use of the words “expect,” “anticipate,” “possible,” “potential,” “target,” “believe,” “commit,” “intend,” “continue,” “may,” “would,” “could,” “should,” “project,” “projected,” “positioned” or similar expressions is intended to identify forward-looking statements that represent our current judgment about possible future events. We believe these judgments are reasonable, but these statements are not guarantees of any events or financial results, and our actual results may differ materially due to a variety of important factors. Among other items, such factors might include: our ability to realize production efficiencies and to achieve reductions in costs as a result of our restructuring initiatives and labor modifications; our ability to maintain quality control over our vehicles and avoid material vehicle recalls; our ability to maintain adequate liquidity and financing sources and an appropriate level of debt, including as required to fund our planned significant investment in new technology; the ability of our suppliers to timely deliver parts, components and systems; our ability to realize successful vehicle applications of new technology; the overall strength and stability of our markets, particularly Europe; and our ability to continue to attract new customers, particularly for our new products. GM's most recent annual report on Form 10-K and quarterly reports on Form 10-Q provides information about these and other factors, which we may revise or supplement in future reports to the SEC. View full article

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